Funding to Indian fintechs up 68% to US$ 436 million in Q3CY23: Tracxn
- IBEF
- October 6, 2023
According to a report by Tracxn, Indian fintechs raised US$ 436 million in the third quarter of the calendar year, a surge of 68% over the US$ 259 million raised in the second quarter.
However, funding has decreased 55% year on year (Y-o-Y) from US$ 967 million raised in Q3CY22. According to the report, funding in fintechs has increased due to a rise in funding in late-stage rounds.
Late-stage rounds increased 141% to US$ 326 million in Q3CY23, up from US$ 135 million the previous quarter. When compared to the US$ 471 million raised in Q3CY22, these rounds showed a 31% (Y-o-Y) decrease. The number of funding rounds has similarly slumped by 78.6% year on year, from 103 in Q3CY22 to 22 in Q3CY23. According to the data, there were 35 rounds of funding in Q2CY23.
In Q3CY23, 11 funding rounds were seed rounds, seven were early-stage rounds, and four were late-stage rounds. The quarter witnessed two IPOs, Zaggle and Veefin, compared to just one in the same quarter last year.
Co-Founder at Tracxn, Ms. Neha Singh said, “In a time of global economic uncertainty, India's FinTech sector has demonstrated exceptional resilience and growth. Tracxn's Q3 2023 report sheds light on a pivotal period where our FinTech startups exhibited a remarkable 68% increase in funding compared to Q2 2023. This surge reflects the industry's dynamism and innovation, positioning India as a leading global FinTech player”.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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